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  3. 2. in 2007, charles purchased 1,000 shares of ryan

2. In 2007, Charles purchased 1,000 shares of Ryan Corporation stock for $12,000. On February...

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2. In 2007, Charles purchased 1,000 shares of Ryan Corporation stock for $12,000. On February 22, 2019, he sells all the shares for $9,000. On March 15, 2019, he repurchases 1,000 shares of Ryan for $8,000 and holds them until May 29, 2019, when he sells them for $10,000. What is Charles's recognized gain or loss on the May 29, 2019, sale? a $1,000 loss b. C. $2,000 gain $2,000 loss d. $1,000 gain e No gain (or loss) recognized 3. Ted purchases some forest land in 2017 with the intention of building a log cabin to use as a vacation home. To obtain the land, Ted pays $10,000 cash, assumes the seller's $19,000 mortgage on the land, and pays $3,000 in commissions and legal fees related to the purchase. In 2018, Ted pays a contractor $4,000 to bulldoze and level the site of the log cabin. In 2019, Ted has a well dug and water and sewer lines laid in the ground at a cost of $6,000. Ted paid $2,000 of property taxes in 2017 and $5,000 of property taxes in 2018 and 2019 on the land. What is Ted's basis in the land at the end of 2019? a $54,000 b. $42,000 $38,000 $36,000 e. $32,000

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